Lee Butz: PPL Center worth the risk

Standing outside the new PPL Center, snapping photos of one of his company's proudest achievements, Lee Butz sounded more like a grandfather anxious to show off his family's latest addition than the chairman of one of the Lehigh Valley's largest construction companies.

In that moment, all the sleepless nights and worried days were far away, Butz said, as he acknowledged the big risk his family took to get the arena job. In 2012, concerned that one of his national competitors would get the deal to build the hockey arena political officials were counting on to rebuild Allentown's struggling downtown, Butz said he and his company CEO son, Greg, decided to go all in.

They agreed to do the $200 million job to build the arena and shell buildings for the adjoining hotel and fitness center for a set price, no matter how much added cost construction changes and unforeseen glitches brought. The "guaranteed maximum price" deal meant if expensive change orders came, the construction company would have to absorb the cost.

Alvin H. Butz won the job over Hunt Construction Group of Scottsdale, Ariz., and Whiting-Turner Contracting Co. of Baltimore.

By then, the 1920 company that had spent decades in South Whitehall had moved to Hamilton Street, a few hundred feet from the arena project.

"We had to have that job. I'd never be able to come downtown again if I had to look at an arena a block away that someone else built," Lee Butz said. "How could I look out the window of our offices and see someone else there? It was a great artistic decision, but maybe not a great financial decision."

Butz, whose 56 years helping to make his family's business one of the largest construction management companies in the region said there's a possibility that his company won't make a dime on this job. There were hundreds of construction changes and added labor costs of having crews work 24 hours a day, seven days a week to get the 8,500-seat arena done before the Eagles take the stage Friday night.

But none of that seemed to matter to Butz this week as he stood above the bowl, smiling widely as he noted the 27-foot, four-sided video board being raised to the roof.

"When I come Friday night, I can't wait to see the look on all of their faces when people see what Allentown has here," Butz said. "They're going to be proud to have this in their city."